Tesla Stock Is Down. Don’t Blame Cybertruck.
Jan 13, 2022
The shares of Tesla are down a little on Wednesday. A story from The Verge said that Tesla had omitted a few important digits from their Cybertruck homepage, which may be the reason. That disclosure, on the other hand, is no longer news.
In early trade, Tesla's stock (TSLA) is down 1.6 percent. The S&P 500 is unchanged. The Dow Jones Industrial Average is up 0.3 percent this morning.
When a potential buyer selects the "purchase now" button on Tesla's Cybertruck homepage, the year 2022 is no longer shown. Tesla included text a few months ago indicating that Cybertruck orders may be customized in 2022. Cybertruck orders now can be configured, according to the website, when production will be finished.
Investors may be concerned that the adjustment means Tesla's pickup vehicle will be delayed. Tesla did not reply to a request for comment on the production of the Cybertruck.
The Cybertruck language change, on the other hand, occurred in early December. The Tesla Twitter-verse has taken notice of this. The removal of 2022 isn't a recent occurrence.
Even if the current reporting is discussing an earlier update, there appears to be something to the Cybertruck explanation. The shares of Ford Motor Company (F) are up 3.8 percent in Wednesday trade. In the first quarter of 2022, Ford will release its all-electric F-150 Lightning. The EV is about to be delivered. Less Cybertuck competition would be beneficial to that model.
Rivian Automotive (RIVN) does, however, sell an electric truck. However, that stock is down 5.2 percent. Investors could have anticipated the company, like Ford shares, to benefit from Cybertruck delay theories, but it hasn't.
That implies that continued growth stock volatility is just as important as any Cybertruck controversy, like Tesla's stock drop. The Nasdaq Composite Index is down 0.9 percent, underperforming the other major indices.
Tesla's Cybertruck, of course, is a crucial vehicle for its company. Trucks account for around 20% of new vehicle sales in the United States. Furthermore, Tesla has nearly a million reservations.
The vehicle will be manufactured at a new factory in Austin, Texas, that is set to open. The Model Y will be produced at the same facility.